Tipping the Scales
Adopting fair trade fishing practices in Indonesia
Like most people in Madapolo village in Indonesia, Sarno Lajiwa fishes for a living. He wakes at 5 a.m. to prepare for work, making sure to bring an ice box to better preserve the freshness of his catch.
“This is what I learned at the fair trade training,” he said. “We were introduced to some practical tips for maintaining fish quality. As our fish quality improves, the price goes higher.”
Sarno leads the Tuna Jaya Fishers’ Association, a group of 20 fishers participating in a USAID program that advances fair trade in Indonesia. In North Maluku and Maluku provinces, USAID encourages sustainable marine management and is introducing new income opportunities that allow people to move toward improved, long-term stewardship of their fisheries.
At the heart of Southeast Asia’s Coral Triangle, Indonesia’s rich marine resources provide food and critical dietary nutrition to millions. But in recent years, the demand for fish and other marine goods has surpassed supply, becoming unsustainable.
With over-exploited and declining fisheries, many small-scale fishers in Indonesia now have to travel farther for their catches, and their incomes have fallen as fish stocks decline.
In fishing communities like Sarno’s, USAID partners with fishers and local organizations to foster self-reliance by improving economic and environmental sustainability. Our facilitation of fair trade certification exemplifies our commitment to sound stewardship of natural resources.
To be Fair Trade USA-certified, fishers must commit to using sustainable practices to harvest and manage their fisheries. In return, fishers receive a premium fund for their products, which means an extra $0.30 per kilogram above the standard price. Resource management, including protecting local biodiversity and threatened species, is one of six certification requirements.
Sarno shared an example: “In the past, we did not know that sharks and turtles were protected species. Now, when we accidentally catch them, we release them back into the sea.”
Fair trade incentives link sustainable management to improved earnings and can protect the fishers against fluctuations in market prices. End consumers pay a premium for certified products that are environmentally sustainable and socially responsible.
Roughly one-fifth of Indonesia’s 267 million people remain vulnerable to falling into poverty, and over 15 million live below the international poverty line of about $2 a day. Poverty rates remain high in Maluku and North Maluku, though these two provinces harvest roughly 30 percent of Indonesia’s annual tuna and skipjack catch. A reliable market price and added premiums for fishers can help ensure long-term financial security; with fair trade certification, Sarno’s fish was about 10 percent more valuable, earning around $26 more for every tuna.
To receive certification and access a premium fund, fishers must organize themselves into associations. Since the start of the USAID project, fair trade project sites have expanded to 28 fishers’ associations and five fair trade committees across three provinces, with more than 800 registered yellowfin tuna fishers.
The premium fund is community money that can be invested in social, economic, and environmental improvements. Each association holds committee meetings to discuss the program and the use of the funds. Associations are also reviewed every year by an external and independent fair trade auditor.
USAID’s local partner for the fair trade program, Yayasan Masyarakat dan Perikanan Indonesia (MDPI), empowers small-scale fishers and helps them meet the standards while improving their organizational and critical-thinking skills. MDPI also supports the associations to select administrators, define missions and internal rules, promote tolerance, and build foundations for transparent and equal participation in activities.
Each member of the association has the same right to propose changes, vote, and freely express their opinions. Through this democratic approach, fair trade certification not only incentivizes sustainable fishing practices but also promotes community resilience and stability.
“In the past, tuna was sold for 49,000 rupiah/kg ($3.59 USD). Now we can get 55,000 rupiah/kg ($4.03 USD),” said Sarno.
This income boost from fair trade certification means a better and more stable life for Sarno and other fishers and a healthier marine environment for many more generations.
Fair Trade: Capture Fisheries Standards
Fair trade certification requires fishers and industry partners to meet six requirements:
1. Structural: The certificate holder’s internal management systems for ensuring that the entities meet the relevant Capture Fisheries Standards requirements.
2. Empowerment and Community Development: The collective and individual empowerment fundamental to building healthy businesses, healthy communities, and a healthy environment.
3. Fundamental Human Rights: Standards are based on the International Labor Organization Core Conventions.
4. Wages, Working Conditions, and Access to Services: The well-being of individual fishermen, crew members, and associated industry workers.
5. Resource Management: The long-term environmental impacts of fishing practices and requirements for sustainable and responsible fishing practices to be adopted, to protect biodiversity and ensure fishing resources are available for future generations.
6. Trade Requirements: The traceability of the fish from fisher to consumer.
About the Author
Tiffany Gibert is a communications specialist for USAID’s Sharing Environment and Energy Knowledge activity, through Environmental Incentives. Masayu Vinanda was a Communications and Outreach Specialist for USAID Indonesia’s Sustainable Ecosystems Advanced project. Mohammad Syifa and Indah Rufiati work with MDPI (Yayasan Masyarakat dan Perikanan Indonesia), USAID’s fair trade implementing partner.
